The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1887-04-28

be sold and the proceeds applied to the
purchase of such old bouds; provided,
that no delivery Of such new snail take
place unless contract has already been
entered into for the purchase of CORES
bonding amount of such old bonds: ahd
nrovided further, no bonds issued under
this act shall be sold az less than par, and
each bond shall be made to bear the low
est rate of interest that will give par
value.
Section 6-That all laws now in force
providing for the collection of taxes for
the payment of the princip pal and interest
of sucn existing bonds, shall apply and be
in force for the collection of taxes for the
payment of the principal and interest of
such new bonds; provided, that the sink
ing fund may be used in the purchase and
cancellation of such new bonds whenever
the same can be bought at not more than
their par value.
Section THE object and intention of
this act being to enable the cities or towns
in this state which have granted subsidy
bonds to railroads or other works of in
ternal improvement, or created any other
Indebtedness whatever, whether bonded or
floating, to compromise the same, and
thereby reduce the burden of taxation, it
is hereby declared, as an inducement to
the holders of said bonds to accept the
compromise, that whenever such compro-
mise shall be entered into and accepted
III good faith either by the holders of the
present bonds or by any persons pur-
chasing such new bonds as pro-
vided in this act, that all laws
now in force or which may hereafter be
in force for the assessment and collection
of the state taxes shall also be in force
and apply to the assessment and collec-
ton of the taxes levied to meet the in
terest and sinking fund of said new bonds;
and in any suits which may hereafter be
instituted to enforce the payment of SAID
new bonds or coupons against any such
CITY or town, no de euse, either i'll law or
equity, shall be admitted in any of the
courts of this state, except such as origin
ated upon or subsequent to the issuance
of such new bonds.
Section S-Whenever a collector OF
taxes shall neglect or refuse to collect the
taxes levied for the payment of the inter
est and sinking fund of such new bonds,
he shall be liable on his official bond, at
the suit of any persons holding an OF
said bonds or coupons, for all such dam
ages as said person or persons snail nave
sustained by reason of his neglect or re-
fusal; nor shall such collector or his
sureties be relieved of such liability by
his resignation of the Office; and when
ever any person who may be elected col
lector of taxes of any city or
town shall fail, neglect or re-
fuse to give the bond required
bv law for the collection of such tax, or
whenever the mayor and board of alder
men shall appoint any person who shall
fail, neglect or refuse to give said bond,
or whenever they shall fail, neglect or re-
fuse to appoint some person who will give
said bond and collect said tax, then 1t is
hereby made the duty Of the governor to
appoint some suitable person to collect
said taxes, who shall perform all the
duties required by this act, or any other
laws of this state relating to the collection
of said taxes, from the term of his said
appointment until the next general cleo
ton.
Section 9-That whenever compro
mise of the debt of any city or town shall
be effected as hereinbefore provided, and
the bonds are delivered to the creditors, g
board of liquidation, consisting of five
reputable citizens of such city or town
shall be appointed forthwith in the man
ner following: The mayor of the city O.
town shall appoint one, the governor o
the state shall appoint one, and the dis
trict Judge of the district in which sucl
city or town shall be situated shall ap
point one, the city council of the city o
town shall appoint one, and the holders o
said Indebtedness, or majority of them
shall appoint one, and each shall fill va
cancies in the Office of their respectiv
appointees in said board; and, in cas-
of failure, neglect or refusal of any one o
all of said officers to appoint member o
said board, or to fill vacancies therein
then the holders of said bonds, or any on
or more of them, shall have the right t
apply to the district court of the distric
| in which such city or town shall be sit
uated, or to the Judge thereof in vacation
| for the appointment of member or mem
bers of said board necessary to complet
the same, and it shall be the duty of sal
court or Judge to make said appointment
| The members of said board shall ser7
without compensation, and shall hol
their Offices for the term of four years
and until their successors are appointe
and qualified. Each member of sal
board shall take an oath to faithful
perform the duties of his Office.
majority of the board shall constitute
Quorum for the transaction of business
Said board, or a majority thereof, sha
select some solvent depositary for a
moneys coming under their control, a
hereinafter provided, and for whose act
they shall be responsible, and shall, i
wri ing signed by them, notify the co
lector of taxes of said city or town @
said selection. 1t shall thereupon be
come the duty of such collector to dt
post at the close of business each da
One-half of all moneys collected by hin
for the twenty-four hours next preceC
ing on account of all the taxes of what
ever nature levied by said city or tow
with the said depositary, whose receip
! therefor shall be an acquittance to sal
collector; aud said collectors shall be lii
bic on their official bonds for any faiul
to promptly make such deposits, an
for 10 per cent. per month of sue
amounts and in addition thereto as per
atty, which sums may be recovered
said board ofliquidation in suit there
for, and it shall be their duty to promp
ly institute such suits. But whenever tt
total of said deposits shall equal the al
nual interest on the said bonds it shall
lawful for such collector to discontinJ
said deposits until he shall be notified